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TMI Blog2018 (7) TMI 487X X X X Extracts X X X X X X X X Extracts X X X X ..... 2), 139(9) and 143(3) of the Act, the Tribunal was justified that the assessee was not entitled to grant of registration and that be assessed as a registered firm ? 2. This Appeal relates to Assessment Year 1993-94. 3. The appellant is a partnership firm. The appellant assessee was assessed as registered firm for Assessment Year 1992-93 on the basis of the instrument of Partnership Deed filed with the Income Tax Department. On 1st April, 1993, Sections 184 and 185 of the Act were amended. For the subject Assessment Year i.e. 1993-94, the Assessing Officer refused registration of the assessee firm for failure to file the certified copy of the partnership deed along with the return of income as required under Section 184 of the Act. Thus, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Act. Thus, it set aside the order of the CIT(A) and restored the order of the Assessing Officer assessing the appellant as an AOP. 6. Before we deal with the respective contentions, it would be useful to reproduce Section 184 of the Act as existing at the relevant time. It reads as under : " 184. (1) A firm shall be assessed as a firm for the purposes of this Act, if - (i) the partnership is evidenced by an instrument : and (ii) the individual shares of the partners are specified in that instrument. (2) A certified copy of the instrument of partnership referred to in sub-Section (1) shall accompany the return of income of the firm of the previous year relevant to the assessment year commencing on or after the 1st day of Apri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ordingly." 7. Mr. Kanuga, learned Counsel in support of the appeal submits as under: (a) The appellant assessee was already assessed as a registered partnership firm for Assessment Year 1992-93. Therefore, in the absence of any change in the constitution of the firm or share of the partners, the earlier registration as a firm would continue. (b) A change in the constitution of the firm or the shares of the partners of the firm would only mean that change in the persons constituting the partnership firm or a change in the profit sharing ratio amongst the partners inter se. It is only in any one of the above two eventualities, that requirement of filing of the certified copy of the partnership deed along with return of income for the subje ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... income. The assessment in an earlier assessment year as a registered firm will not enure to the benefit of the assessee for the subject assessment year. This in view of the amended Section 184 of the Act. In support, reliance is placed upon the decision of the Kerala High Court in Bhaskar & Co. Vs. CIT, 331 ITR 90; and 9. We note that the impugned order of the Tribunal has set aside the order of the CIT(A) on the ground that there has been a change in the share of partners as evidenced by the instrument executed providing for salaries and interest to partner. Thus, the assessment as a firm in the earlier assessment year will not assist the appellant assessee to be assessed as a firm. The impugned order of the Tribunal holds that Section 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y of the partnership deed along with the return of income. According to him, amendment to Section 184 w.e.f. 1st April, 1993 is a fresh start. Reliance in support is placed upon the decision of Hon'ble Kerala High Court in Bhaskar and Co. (supra). The aforesaid decision proceeds on the basis that after the amendment to Section 184 of the Act, the earlier assessment as a partnership firm under the earlier regime cannot be relied upon to avail the benefit of assessment as a partnership firm from Assessment Years 1993-94 onwards. 13. With respect, we are unable to agree with the view of the Hon'ble Kerala High Court in Bhaskar and Co.(supra) on the above issue. This for the reason that it proceeds on the basis that prior to Assessmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ars commencing from 1st April, 1993, only applies to firms which seek to be assessed as a partnership firm under the Act for the first time after 1st April, 1993. There is no warrant to restrict the meaning and the scope of subsection 3 of Section 184 of the Act. Accepting the submission on behalf of the Revenue would necessarily require reading words into subsection 3 of Section 184 of the Act to the effect that it would apply in respect of the assessment as a firm was first sought "after 1st day of April, 1993". It is a settled position in law that fiscal statute is to be strictly construed. It is not open to add words and / or delete words in the absence of any ambiguity. Therefore, full play must be given to sub-section 3 of Section 184 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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